The Cattle Council of Australia says it will ask the Australian Competition and Consumer Commission to examine JBS Australia’s proposed acquisition of the Primo Group to ensure it does not lessen competition in the Australian cattle industry.

NSW Farmers has also added its weight to calls for the acquisition to be closely scrutinised.

The Cattle Council of Australia told Beef Central this week that it monitors all major purchases in the processing sector closely to ensure competition is not reduced for Australian beef producers.

The council says it is supportive of foreign investment in the Australian beef industry, but was concerned about developments that could have lead reduce competition in the market.

“Cattle Council will write to the ACCC, as we have done previously in these situations, requesting that the ACCC investigate the purchase and ensure that it does not lessen competition in the Australian cattle industry,” CCA chief executive officer Jed Matz said.

NSW Farmers’ President Fiona Simson said that JBS is the world’s largest animal protein processing company so the proposed acquisition clearly needs to be examined in detail.

She said NSW Farmers will be looking at the proposed acquisition, which is subject to regulatory approval, and undertaking further consultation to ensure the proposal is the subject of rigorous oversight.

“We recognise the importance of working with all key players across the food chain to ensure competition policy delivers for the buyer as well as the producer,” she said

“Achieving this balance requires a thorough process of consultation and consideration. NSWFarmers is beginning this process now and in the weeks ahead will make a full and thorough submission to the appropriate regulatory authorities on any issues of concern.

“This is a significant acquisition and regulatory agencies need to get this decision right. We look forward to the process of consultation.”